NEW YORK, Dec. 31 (UPI) -- Crude oil prices were pummeled in the early Wednesday session on dueling reports showing growing evolution in the U.S. oil market.
West Texas Intermediate, the U.S. price index, fell nearly 2.8 percent below the close from the previous session to trade at $52.61 per barrel for the February contract. Brent, the global benchmark, was off nearly 3 percent from the previous day to trade at $57.90 per barrel.
Crude oil prices this week saw a brief rally early Monday on word oil storage tanks in Libya were burning out of control following rebel action. Once a major market swinger, the glut of oil from the United States may be driving market mechanisms more than Libyan shortages.
The American Petroleum Institute this week said total U.S. oil production was around 9.1 million barrels per day, far outpacing Libya's peak. The U.S. Energy Information Administration in a monthly petroleum report, meanwhile, said total imports into the U.S. market declined by 5 percent in October and 4 percent year-on-year.
Imports from Canada, the No. 1 oil supplier to the U.S. market, were down for the month, as was the amount from Saudi Arabia, the kingpin at the Organization of Petroleum Exporting Countries.
OPEC's November decision to keep production static is in part behind the slump in oil prices. Markets early Wednesday may be reacting to a U.S. Commerce Department report saying U.S. oil exports may be increasing under certain scenarios.
OPEC's decision was seen in some trading circles as an effort to stifle U.S. production.
